What is a breach of contract?

• A. When one party fails to perform their promise
• B. When both parties agree to modify terms
• C. When a third party interferes with performance
• D. When a contract is never formed

Answer: (A)

A breach of contract happens when one party fails to perform the obligations promised in the agreement. This means not doing what was promised, or not doing it on time, without a valid excuse. That description matches the scenario where a party does not fulfill their promise. The other options describe things that aren’t breaches: a mutual modification by both sides is a valid change to the terms; interference by a third party could give rise to other claims but isn’t a breach by the contract holder; and if a contract was never formed, there’s nothing to breach. When a breach occurs, the non‑breaching party can seek remedies like damages or, in some cases, specific performance.